Virtu Financial LLC Invests $1.09 Million in Teradyne, Inc. (NASDAQ:TER)

Key Points

• Virtu Financial LLC has acquired 13,184 shares of Teradyne, Inc. valued at approximately $1,089,000 during the first quarter, indicating a growing interest from institutional investors.
• Teradyne's CEO, Gregory Stephen Smith, sold 554 shares at an average price of $105.73, reflecting a 0.56% decrease in his company ownership following the transaction.
• The company announced a $1.00 billion share buyback plan, allowing the repurchase of up to 8.1% of its stock, which suggests that the leadership believes the stock is undervalued.

Virtu Financial LLC acquired a new stake in Teradyne, Inc. (NASDAQ:TER - Free Report) during the 1st quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The fund acquired 13,184 shares of the company's stock, valued at approximately $1,089,000.

Several other large investors have also made changes to their positions in the business. Vanguard Group Inc. boosted its holdings in shares of Teradyne by 2.5% in the first quarter. Vanguard Group Inc. now owns 20,922,231 shares of the company's stock valued at $1,728,176,000 after purchasing an additional 516,332 shares during the period. Ameriprise Financial Inc. increased its position in shares of Teradyne by 28.3% in the 4th quarter. Ameriprise Financial Inc. now owns 4,828,689 shares of the company's stock valued at $608,025,000 after acquiring an additional 1,065,474 shares during the period. Aspex Management HK Ltd increased its position in shares of Teradyne by 35.5% in the 4th quarter. Aspex Management HK Ltd now owns 3,234,842 shares of the company's stock valued at $407,331,000 after acquiring an additional 847,409 shares during the period. Sumitomo Mitsui Trust Group Inc. increased its position in shares of Teradyne by 4.6% in the 1st quarter. Sumitomo Mitsui Trust Group Inc. now owns 2,957,049 shares of the company's stock valued at $244,252,000 after acquiring an additional 131,152 shares during the period. Finally, Invesco Ltd. grew its position in Teradyne by 16.1% during the 1st quarter. Invesco Ltd. now owns 2,790,898 shares of the company's stock worth $230,528,000 after purchasing an additional 387,705 shares during the period. 99.77% of the stock is currently owned by hedge funds and other institutional investors.

Wall Street Analyst Weigh In

A number of equities research analysts have recently commented on the company. Wall Street Zen cut Teradyne from a "hold" rating to a "sell" rating in a research report on Saturday, August 2nd. Cowen restated a "buy" rating on shares of Teradyne in a research report on Wednesday, July 30th. Cantor Fitzgerald set a $105.00 target price on Teradyne and gave the company an "overweight" rating in a research report on Tuesday, June 24th. Morgan Stanley upgraded Teradyne from an "underweight" rating to an "equal weight" rating and raised their target price for the company from $74.00 to $100.00 in a research report on Thursday, July 31st. Finally, UBS Group restated a "buy" rating and set a $130.00 target price (up from $120.00) on shares of Teradyne in a research report on Thursday, July 31st. Three research analysts have rated the stock with a sell rating, five have assigned a hold rating, ten have issued a buy rating and one has assigned a strong buy rating to the stock. According to data from MarketBeat.com, Teradyne presently has an average rating of "Hold" and an average price target of $114.44.

Teradyne Price Performance

Shares of TER stock traded up $2.38 during trading on Wednesday, hitting $114.01. 5,223,735 shares of the stock traded hands, compared to its average volume of 4,809,267. The firm has a market capitalization of $18.14 billion, a P/E ratio of 39.45, a price-to-earnings-growth ratio of 2.34 and a beta of 1.72. The firm's fifty day moving average price is $94.12 and its 200-day moving average price is $91.59. Teradyne, Inc. has a 52-week low of $65.77 and a 52-week high of $144.16.

Teradyne (NASDAQ:TER - Get Free Report) last released its quarterly earnings results on Tuesday, July 29th. The company reported $0.57 EPS for the quarter, beating the consensus estimate of $0.54 by $0.03. The firm had revenue of $651.80 million for the quarter, compared to analyst estimates of $649.02 million. Teradyne had a net margin of 16.59% and a return on equity of 18.16%. The business's revenue for the quarter was down 10.7% compared to the same quarter last year. During the same quarter in the previous year, the company earned $0.86 EPS. As a group, equities research analysts expect that Teradyne, Inc. will post 3.88 earnings per share for the current year.

Teradyne announced that its Board of Directors has initiated a share repurchase plan on Monday, April 28th that permits the company to repurchase $1.00 billion in outstanding shares. This repurchase authorization permits the company to buy up to 8.1% of its shares through open market purchases. Shares repurchase plans are typically an indication that the company's leadership believes its shares are undervalued.

Insider Activity at Teradyne

In other Teradyne news, CEO Gregory Stephen Smith sold 554 shares of the business's stock in a transaction that occurred on Wednesday, July 30th. The stock was sold at an average price of $105.73, for a total value of $58,574.42. Following the sale, the chief executive officer owned 97,547 shares of the company's stock, valued at $10,313,644.31. The trade was a 0.56% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Insiders own 0.16% of the company's stock.

Teradyne Profile

Teradyne, Inc designs, develops, manufactures, and sells automated test systems and robotics products worldwide. It operates through four segments; Semiconductor Test, System Test, Robotics, and Wireless Test. The Semiconductor Test segment offers products and services for wafer level and device package testing of semiconductor devices in automotive, industrial, communications, consumer, smartphones, cloud, computer and electronic game, and other applications.